Aether Games, a blockchain game studio previously backed by Mysten Labs, has announced its closure.

PANews reported on December 16th that blockchain game studio Aether Games has officially shut down. Aether Games stated, "We did everything we could to keep Aether running. We were fully committed to the card game project, striving to adapt to market changes and adjust our direction, and we made considerable efforts to explore a sustainable development path. However, we ultimately failed."

Aether Games reflected on several factors that led to its failure: during the token generation event, the breach of trust by numerous KOLs and partners consumed significant liquidity; marketing agencies failed to deliver on their promises, while high ongoing operating costs (including auditing, compliance, and listing fees) continuously drained funds; and recently, it received delisting risk notices from several major exchanges. The project team admitted that at this stage, they have not yet seen a sustainable business model for their crypto game that can support developers in the long term. For security reasons, the project will close its Discord channel and remind users to be wary of fraudulent links and wallet theft attempts related to this event.

In May 2023, it was previously reported that AetherGames completed a $4.5 million equity financing round, with Mysten Labs, Polygon, and others participating in the investment.